Australia: Shares end higher after China cuts tariffs on US imports
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[SYDNEY] Australian shares ended more than 1 per cent higher on Thursday after Beijing said it would halve tariffs on some goods imported from the United States, in a move that could improve Sino-US ties ahead of talks on Phase 2 of the trade deal.
The S&P/ASX 200 index closed 1.1 per cent higher at 7,049.2, having gained 0.4 per cent on Wednesday.
Asian shares also cheered Beijing's unexpected announcement, which could ease one of the biggest risks to global economic growth that has also been threatened by the coronavirus epidemic in China, Australia's biggest trade partner.
The decrease in tariffs was widely read as a positive step towards resolving the Sino-US trade conflict following the signing of a Phase 1 trade deal in January, CommSec market analyst James Tao said.
The financials subindex ended 1.4 per cent higher, underpinned by gains in the "Big Four" banks.
The country's two biggest lenders Commonwealth Bank of Australia and Westpac Banking Corp advanced 1 per cent and 1.7 per cent, respectively.
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New Zealand's financial markets were closed for a holiday.
REUTERS
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